What is responsible business conduct?

Responsible business conduct (RBC) The OECD has defined RBC as “making a positive contribution to economic, environmental and social progress with a view to achieving sustainable development and avoiding and addressing adverse impacts related to an enterprise’s direct and indirect operations, products or services”.

What is RBC due diligence?

Client due diligence and enhanced due diligence; Monitoring of transactions to detect and report suspicious activity; Reporting transactional activity as prescribed by the applicable laws and regulations; Recordkeeping and retention in accordance with applicable laws and regulations.

How do you conduct human rights due diligence?

It includes four key steps: assessing actual and potential human rights impacts; integrating and acting on the findings; tracking responses; and communicating about how impacts are addressed.

What is sectoral due diligence?

The sectoral guidance establishes a common understanding among governments, business, civil society and workers on due diligence for responsible business conduct, and can enable business to build supply chain resilience, manage uncertainty and drive long-term value.

Why is responsible business important?

A responsible business can build greater trust and strengthen its relationships to its stakeholders on every level, including its consumers, employees, investors and the communities it operates in, which generates greater value over time.

How can a business be responsible?

Here are seven tips you can follow to ensure your company is a responsible corporate citizen.

1. Adopt a business code of ethics.
2. Follow a workplace health and safety program.
3. Commit to protecting the environment.
4. Get your suppliers on board.
5. Be smart about donating money.
6. Don’t greenwash your business.

What is Organization of Economic Co operation and Development guidelines for multinational enterprises?

The OECD Guidelines for Multinational Enterprises (OECD Guidelines) are recommendations from governments to multinational enterprises on responsible business conduct. The OECD Guidelines set standards for responsible business conduct across a range of issues such as human rights, labour rights, and the environment.

Why is human rights due diligence important?

Downstream human rights due diligence is important because severe adverse human rights impacts can result from the use or abuse of products and services, as well as decisions made at any point in the product lifecycle.

Why is human rights due diligence?

The prevention of adverse impacts on people is the main purpose of human rights due diligence. It concerns risks to people, not risks to business.

Is due diligence a legal requirement?

The purpose of a legal due diligence is to assess the potential risks of a transaction by investigating the obligations and liabilities of the target company. A seller will usually expect a non-disclosure agreement to be signed by the potential purchaser prior to the legal due diligence being undertaken.

What is due diligence EU?

Companies must follow the new due diligence rules. This means taking measures to prevent harm to human rights, the environment and good governance. If companies cause harm they will have to pay a penalty unless they can prove they have acted in line with due diligence.

What is responsible business performance about?

A responsible business is one that has a positive impact on the society and the environment in which it operates. Companies have begun recognising that aligning projects with strategic business goals can improve their competitive advantage.

What is the OECD due diligence guidance for Responsible Business Conduct?

The OECD Due Diligence Guidance for Responsible Business Conduct provides practical support to enterprises on the implementation of the OECD Guidelines for Multinational Enterprises by providing plain-language explanations of its due diligence recommendations and associated provisions.

What is duedue diligence?

Due diligence is a process business can carry out to identify and respond to real and potential negative impacts related to their own operations as well as throughout their supply chains. The OECD Due Diligence Guidance for Responsible Business

What is the ILO Tripartite Declaration on due diligence?

The UN Guiding Principles on Business and Human Rights, as well as the ILO Tripartite Declaration of Principles Concerning Multinational Enterprises and Social Policy, also contain due diligence recommendations, and this Guidance can help enterprises implement them.